FACTBOX: Subprime crisis affects banks worldwide

Tue Feb 19, 2008 5:16am EST
 
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(Reuters) - Credit Suisse (CSGN.VX) has written $2.85 billion off the value of its asset-backed investments and found mismarking and pricing errors on its books, it revealed on Tuesday, sending its shares plummeting.

European equities shed 1.3 percent on Tuesday, reversing most of the previous day's 2 percent jump, as banks topped the losers' list after Barclays (BARC.L) also reported further write-downs.

Here is a list of some of the banks around the world that have been affected by the credit crisis:

February 8, 2007 - HSBC (HSBA.L) - Europe's biggest bank HSBC Holdings blames bad U.S. subprime loans for its first-ever profit warning in February. On September 21, it announced the closure of its U.S. subprime unit, Decision One Mortgage, and records an impairment charge of about $880 million.

April 2 - NEW CENTURY NEWCQ.PK - The U.S. subprime lender files for Chapter 11 bankruptcy protection in the biggest collapse of a mortgage lender in the U.S. housing downturn.

July - IKB & SACHSENLB - Two banks in Germany, IKB (IKBG.DE) and state bank SachsenLB suffer exposure by investing in the U.S. subprime market. The German banking industry bails out IKB, but SachsenLB almost goes under and is quickly sold to state-backed Landesbank Baden-Wuerttemberg (LBBW).

August 9 - BNP PARIBAS (BNPP.PA) - The French bank bars investors from redeeming cash in $2.2 billion worth of funds, telling the markets it is unable to calculate the value of the three funds due to turmoil in the subprime market.

August 9 - NIBC - The Dutch merchant bank discloses 137 million euros ($189 million) of losses on U.S. asset-backed securities in the first half, and shelves plans for an initial public offering indefinitely.

September 13 - NORTHERN ROCK NRK.L - The British mortgage lender experiences a bank run. The Bank of England steps in.

October 15 - CITIGROUP, the largest U.S. bank by market value, says Q3 profit fell 57 percent due to losses, with net income down to $2.38 billion from $5.51 billion a year earlier.

October 19 - WACHOVIA CORP WB.N - The fourth-largest U.S. bank posts a 10 percent decline in Q3 profit, to $1.69 billion from $1.88 billion a year earlier, having suffered $1.3 billion of write-downs resulting from the credit market turmoil.

October 24 - MERRILL LYNCH stuns Wall Street by writing down $8.4 billion in bad investments related to subprime lending.

October 26 - COUNTRYWIDE - U.S. mortgage lender Countrywide Financial Corp CFC.N posts a $1.2 billion third-quarter loss after writing down $1 billion in subprime lending losses.

October 29 - MITSUBISHI UFJ FINANCIAL GROUP INC (8306.T), Japan's largest bank, says it would write down the value of subprime-related investments by as much as 30 billion yen ($260 million), six times more than previously announced.

October 30 - UBS - Swiss bank UBS (UBSN.VX) reports a third-quarter pretax loss of 726 million Swiss francs ($624.8 million) after it took a charge of 4.2 billion francs on subprime-related losses in its fixed-income investments.

November 4 - CITIGROUP says it may write off $8 to $11 billion of subprime mortgage losses, on top of a $6.5 billion write-down in its third quarter.  Continued...

 

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